Posted on 08/28/2007 4:39:18 PM PDT by Bigun
How much would the same law abiding fellow who earned his income through legitimate means have had to earn under the income tax system in order to have the funds available to complete the exact same transaction?
How many tax returns would he have had to file?
How much completely needless record keeping and other wasteful enterprises would he have had to engage in just to be able to accurately file those returns?
How much did all of that cost?
How much is FREEDOM worth?
LOL!
I do believe that the article to which you refer has been throughly ripped to shreds on this thread.
I am all for it. I hope that the organizers of the Fair Tax hire media consultants to sell the idea to liberals not just Republicans and Libertarians.
I support the FairTax proposal since it seems to be the most viable proposal for a national retail sales tax currently, although I personally would rather see a NRST that had no prebate and that had a per-transaction limit of, say, $5,000.
“The Fair Tax would replace all federal income taxes...”
Unless the XVI Amendment is repealed this is never going to happen. If the XVI Amendment is left in place some future Congress is going to pass legislation re-establishing an income tax.
Every fairtax proponent I know of endorses getting rid of the 16th amendment. In fact, the fairtax bill itself endorses the idea. But if you think that they are going to repeal it without the replacement tax system in place first - well I've heard of a bridge in Brooklyn that someone is trying to sell.
Once the Fairtax is in place, repeal of the 16th will be a relatively simple matter as millions upon millions would demand it!
Tag for later
The prebate goes to you whether you make 20K or 20 million. It's calibrated to cover the sales tax on amount of money spent for food, clothing, and other necessities up to a predetermined poverty level.
Yeah, and if you make over that predetermined poverty level, you shouldn't get it, based on a sliding scale which claws a percentage of it back the more you make beyond that poverty point until your prebate=0
It simply doesn't make sense to send out a prebate check to every single American, if they are making 100k+ a year.
If that is the case, then that is a big waste of money, needless government workers and offices.
I understand what you mean though. It is someones idea of trying to simplify a problem concerning low income earners. It is just as simple, (=spending less tax dollars) to have people send in for a rebate or "prebate adjustment" each year , a single piece of paper, rather than recycling money like we do now with tax returns. That way only those that need it get it, and it maximizes revenue, wastes less time and paper, size of the government office, because it only serves a part of the population rather than all of it.
I don't!
Because, we all knew that the "comprehensive reform" would guarantee a sham...once the pols got what they wanted, there wouldn't be any promises kept.
Now we're supposed to believe there's going to be "comprehensive tax reform". Yeah right.
Repeal the income tax, then issue "fiscal responsibility" bonds until the new 'fair' tax is implemented. It's just as likely to happen/work!
I agree with your concerns - The government is going to determine eligibility for monthly prebate checks?
There should not be prebate checks. Everyone should pay the flat tax. Otherwise, you’ll end up with a sales tax that only the rich pay, and probably a higher rate on them with paybacks to the “poor”.
Talk about robbing peter to pay paul ...
Religious organizations aren’t “consumers” so they wouldn’t pay the FairTax any more than any other business would.All nonprofit purchases not for resale or export would be taxed by the FairTax. Kotlikoff estimated that nonprofits would have paid somewhere around $35 billion in FairTax in 2005.
Not exactly - any home purchased as an investment and rented out would be tax free. The tax would become due when the home is converted to personal use. So the 30% tax could well be added to the cost of a used home, and not all new home sales would be taxed.
BTW, the renter would have to pay 30% tax on his rent.
Existing housing would go up in value as a result of the tax premium on new housing (thus benefiting current homeowners), but again, not by the full amount of the FairTax, so you end up with slightly higher home prices, which can be paid with higher incomes.
So the FairTax would be inflationary.
And medical expenses are taxed now, in the sense that they have embedded taxes built into them and they are paid (for the most part) with post-income and payroll tax dollars.
Those that provide medical services will cut their fees by the amount of income tax they would have paid the IRS?
...and they are paid (for the most part) with post-income and payroll tax dollars.
The employer gets a tax break for the portion of health insurance he provides, and the employee does not pay tax on that portion of the benefit. Under the FairTax, would employer provided and paid for health insurance be a business expense and tax free, even though the benificary is the individual? Would the portion of insurance paid for by the employee be subject to the 30% tax?
What happens when the insurance provider pays for health services? Is the payment a business expense and therefore not subject to the tax? If the insurance provider must pay an additional 30% in taxes on the behalf of the insured, what would that do to insurance rates?
It would all get rolled up and be included in Mr. Wills mortgage anyway, just like car tax is included in a car loan.
It's just the tax is more visible, and that bothers people for some reason. They'd rather not see it.
A creative Realtor will advertize the house as- "Big nice house 1,298,700- we pay the tax!" That will make those people happy.
On the other hand, you can't get blood from a turnip.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.